The interaction of strategic intelligence and strategic leadership styles in developing dynamic capabilities: evidence from Iraqi banks

Purpose- This study investigates the interactive role of strategic intelligence and strategic leadership styles in developing dynamic capabilities within Iraqi banks. It aims to clarify how leaders’ strategic insight, future orientation, and leadership behaviors jointly contribute to enhancing organizational adaptability and sustaining competitive advantage in a turbulent and uncertain environment. Methodology- A descriptive–analytical research design was employed. Data were collected through a structured questionnaire distributed to senior and middle managers in public and private Iraqi banks. Of the 130 questionnaires distributed, 120 valid responses were received, yielding a response rate of 92.3%. The data were analyzed using SPSS and AMOS to examine both the direct and interactive relationships among the study variables. Findings- The results indicate that strategic intelligence and strategic leadership styles each exert a statistically significant positive effect on the development of dynamic capabilities. Furthermore, the interaction between strategic intelligence and leadership styles demonstrates a stronger influence on banks’ abilities to sense environmental changes, seize emerging opportunities, and effectively reconfigure organizational resources. Conclusion- The study concludes that integrating strategic intelligence into leadership practices is crucial for strengthening dynamic capabilities in the Iraqi banking sector. By promoting strategic awareness, adaptive leadership, and systematic environmental scanning, banks can enhance innovation, organizational resilience, and long-term competitiveness. This research contributes to the strategic management literature by offering empirical evidence from an emerging economy and emphasizing the combined impact of leadership and strategic intelligence on dynamic capabilities.